AmCham gives Govt ‘A’ for effort

AFTER last year’s promise of “changing the paradigm” and cutting spending, the American Chamber of Commerce (AmChamTT) said this year, the government seems to have reverted to “previous patterns of unnecessary spending.”

AmCham’s president Patricia Ghany said yesterday at the association’s annual post-budget forum: “The Minister of Finance made some sharp cuts in public expenditure as he sought to rein in spending (last year). This year, though, there seems to be a policy shift back toward increasing spending as revenue increases, despite the fact that this will lead to a projected additional $4 billion in deficit in a scenario where the overall national debt has been climbing,”

The government did get kudos though for publishing for the first time its Vision 2030 progress document, part of the overall budget package, that outlined how far (or not) the government had gone in terms of keeping its promises and achieving its goals.

“Developing and then analysing this data is the base of effective budgeting and for this we must say, that the government gets an A+,” Ghany said.

Ghany also praised the government’s efforts in reducing the fuel subsidy, as well as its announced crime-fighting policies to modernise the police. She added that as welcome as they are, hopefully they can be implemented soon and efficiently.

She slammed the government’s increasing debt to the private sector in the form of outstanding Value Added Tax refunds.

“This is both unacceptable and deleterious to doing business. More and more members are calling us to ask for assistance with this. We implore the government to find urgent, meaningful and sustainable solutions to this problem as the private sector can no longer afford to fund the State – essentially through the provision of interest-free loans from unpaid VAT refunds, while depriving our businesses of much needed cash for their operations,” she said.

The change needed in the country cannot be achieved simply though debate about what is spent and earned, she said.

“We must look at creating and sticking to the plans, policies and that will create sustainable prosperity for all.”